Markets reacted to volatile geopolitics as hopes of a swift resolution in the Iran crisis clashed with heightened military tensions. Strong gains in European equities and a sharp drop in oil prices highlighted a session defined by fragile optimism. With central banks watching inflation and safe havens like gold and the Swiss franc holding firm, uncertainty remains. Dario Messi, Head of Fixed Income Research at Julius Baer, and Mathieu Racheter, Head of Julius Baer’s Equity Strategy Research team, discuss how recent geopolitical developments are shaping global bond and equity markets and how investors can navigate markets amid the fog of war.